Vekselberg Wins London Fake-Art Claim Against Christie’s

By Jeremy Hodges -
Jul 27, 2012

Viktor Vekselberg, the billionaire
who owns part of a Russian oil venture with BP Plc (BP/), won a claim
to recoup losses from U.K. auctioneer Christie’s International
after paying 1.7 million pounds ($2.6 million) for what he
thought was a painting by Russian artist Boris Kustodiev.

Judge Guy Newey in London said that the painting was “the
work of someone other than” Kustodiev and Veksleberg’s Aurora
Fine Arts Investment Ltd. had the right to return the painting
“and recover the money it paid.” Newey cleared Christie’s of
negligence in his written judgment.

“It is a matter of huge regret to Aurora that it was
forced to sue Christie’s,” Andrey Shtorkh, Vekselberg’s
spokesman, said by phone from Moscow today. “We are pleased
with the ruling, which confirmed that the experts from Russian
museums were correct in asserting that the painting is not the
work of Kustodiev.”

Vekselberg, chairman of Renova Group, has a net worth of
about $14 billion according to data collected by Bloomberg. In
March, he stepped down as chairman of United Co. Rusal, the
world’s biggest aluminum maker, citing disputes with co-founder
Oleg Deripaska, including the refusal to sell Rusal’s stake in
OAO GMK Norilsk Nickel.

“We are surprised and disappointed by his view of the
painting’s attribution,” a spokesman for London-based
Christie’s said in a statement after the ruling. “We maintain
our belief in the attribution to Kustodiev and are considering
our options.”

Dispute Resolution

Aurora first notified Christie’s of its concerns about the
painting in November 2006 and expected the matter would be
resolved through Christie’s own dispute resolution procedure,
Shtorkh said.

Kustodiev, born in 1878, rose to prominence in the early
part of the 20th century and “is to Russians what Laurence
Stephen Lowry is to the English, in terms of the affection in
which he is held,” Newey said in his judgment.

Aurora bought the painting, dubbed Odalisque, in 2005 for
1.7 million pounds after Christie’s valued it at between 180,000
and 200,000 pounds for auction.